Pizza Hut UK dining arm in ‘constructive’ discussions with debt provider

This comes after an independent auditor showed concern over the ‘company’s ability to continue.’

Heart with Smart Group (HwS), formerly known as Pizza Hut UK, the operator of Pizza Hut’s dining arm in the UK said that it is in ‘constructive discussions’ with debt provider Pricoa as its senior debt matures in April next year.

In a statement, CEO of HwS Jens Hofma said that the company’s turnover rose 25% in 2022 and is currently trading well ahead of 2022, with a 16.8% like-for-like growth in restaurant sales in the financial year to date and 12% across the whole business. 

Hofma said the discussions over its debt are a ‘normal course of business’. They hope to complete the rescheduling and renewing of the company’s debts by Christmas.

“Our operating result of minus £3m for 2022 is marginal when you consider the impact of Omicrom in the early part of the year, followed by utility bill rises and other cost pressures – many operators are facing similar or worse issues with profitability during this period. Our current trading results demonstrate we are in strong recovery with fantastic momentum this summer achieving double-digit sales growth,” Jens Hofma, CEO of HwS said.

The statement follows weekend reports on the financial health of the group following the release of its latest accounts.